With the newly elected U.S. president Joe Biden set to move his administration into the White House, the crypto industry is hoping the new president has a friendlier attitude towards the emerging industry. On this matter, SEC Commissioner Hester Peirce, popularly referred to as “Crypto Mom”, suggests that under Biden’s presidency the SEC ake a “fresh look” at crypto regulations.
Speaking at a virtual panel organized by RealClearPolicy, a conservative political news site, on Tuesday, Commissioner Peirce shared some insight into how she’d approach crypto regulations. “We still don’t know what crypto is going to become,” she said outlining the need for proper regulations that promote the development of nascent tech and also keep illicit activities at bay.
She discussed how the “freedom to engage in financial transactions without being surveilled” will be one of the core ideals with her approach towards regulating the crypto industry. This could be a reference to the recently proposed rules by the Financial Crimes Enforcement Network (FinCEN) that requires crypto wallet transactions to be reported.
Peirce is known for her commitment to protecting one’s privacy in finances. She had previously talked about the need for increased financial privacy and had insisted that the SEC must step up these kinds of protections. However, change is always hard.
“Regulatory agencies tend to be quite conservative when it comes to change,” she continued.
The panel which also included Roslyn Layton of Forbes; Representative Patrick McHenry of North Carolina’s 10th congressional district; and J.W. Verret, a law professor, and former Trump advisor, discussed Biden’s appointment of former Commodity Futures Trading Commission (CFTC) and Goldman Sachs executive Gary Gensler.
However, Pierce declined to comment about Gensler supposedly being Biden’s choice to lead the SEC.
More Regulatory Clarity in 2021
Talking about Biden’s administration Peirce continued that “We have seen during 2020 quite a bit of institutional interest and retail interest in Bitcoin and other cryptocurrencies.”
In a separate interview with Forkast.News Editor-in-Chief Angie Lau, Peirce also talked about the lack of regulatory clarity when it comes to the crypto industry.
“It is really quite challenging right now for projects, and people are thinking about different ways to do that in a way that’s compliant. But there are no easy answers because we haven’t provided that clarity on how to do it,” She said.
As such, she believes a new administration will lead to greater regulatory clarity for the industry in 2021. Adding that the SEC could also address the regulations around the decentralized finance (DeFi) market for the first time.
“We can provide clarity with respect to DeFi, which is something that we haven’t talked about yet, but I think has had quite a year in 2020,” she said.